Ever since the release of the EOS tokens I've been trying to get my hands on it for the best price. To my horror, I noticed that the price on the kraken website was quite a bit higher than the price on coinmarketcap.com ($0.50-1$). So I looked up on how coinmarketcap.com got such a low price estimate, it turns out it calculates the weighted average considering the market volume of each exchange. Which is very useful: this means that there is an exchange offering EOS tokens at a much lower price.
I looked under the markets tab and found that the exchange Yunbi had an 80% market volume and was selling EOS at less than a dollar less than Kraken. The above description of what I discovered was not limited for EOS tokens, it turns out, that all of the most popular coins were dominated by the Chinese exchanges.
The fact that we know that the Chinese exchanges have the most volume can help us here in the Western market. I demonstrated this in my last post about "when to buy antshares", where I was more or less spot on. Sadly it will take a while until we can apply these techniques on EOS, as it was only released on the market a few days ago.
One of my techniques is to find a pattern in the times when people trade a particular coin. People are habitual beings, they like repeating the same thing over and over again (it makes us comfortable and less stressy), what's more is that we like doing it in groups for example if i know there is a group that trades from 8-10 I am more likely to trade during those times (probably because of fear of missing out). Since Yunbi has the biggest volume we can postulate that the time to trade is when the chinese trade.
another technique is to view the Yunbi exchanges charts next to the Western exchanges charts. A lot of the time when there is high volatility the exchange with the most volume will "Rise" or "Sink" first. Giving the upper hand on the people trading in the european market. In fact EOS started to fall at 11:25 on Yunbi meanwhile it started to fall steeply at 8:50 on kraken, in fact if you compare the 2 they could have been of 2 totally different currencies. In fact the 2 highs are inverted (because of the time gap).This means that the two markets influence each other. And therefore if something rises in Europe it will rise in China and if something rises in China it will rise in Europe with a delay, which, if you are quick enough can give you the upperhand.
Why not buy low on Yunbi and sell high on Kraken?
This option is possible only for long term investors and not day traders. This is because Yunbi withdraws are processed a day after the request. For long term traders I recommend scrimping around looking for the cheapest buy especially when there is a $1 difference per coin.
hopefully this EOS craze will continue and it will continue to gain new highs.
Sorry that i couldn't post any images, imgsafe.org was down :(
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